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Runoff vs. Plurality: Does It Matter for Expenditures? Evidence from Italy

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  • Cipullo, Davide

    (Department of Economics)

Abstract

This paper compares the runoff system and the plurality rule in terms of the size and composition of public expenditures. I use the change in the voting rule in Italian municipalities at 15,000 residents to implement a regression discontinuity design. The results show that municipalities under the runoff system spend at least 20 percent more than those under the plurality rule, and that this effect is primarily driven by a large increase in administrative spending. Additionally, the greater number of candidates and the larger coalitions indicate lower accountability under the runoff system than under the plurality rule.

Suggested Citation

  • Cipullo, Davide, 2018. "Runoff vs. Plurality: Does It Matter for Expenditures? Evidence from Italy," Working Paper Series 2018:13, Uppsala University, Department of Economics.
    • Handle: RePEc:hhs:uunewp:2018_013
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    1. Casarico, Alessandra & Lattanzio, Salvatore & Profeta, Paola, 2022. "Women and local public finance," European Journal of Political Economy, Elsevier, vol. 72(C).

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    More about this item

    Keywords

    Voting rules; Fiscal policy; Runoff; Plurality; Regression discontinuity design;
    All these keywords.

    JEL classification:

    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • E02 - Macroeconomics and Monetary Economics - - General - - - Institutions and the Macroeconomy
    • H39 - Public Economics - - Fiscal Policies and Behavior of Economic Agents - - - Other
    • H50 - Public Economics - - National Government Expenditures and Related Policies - - - General

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